Medicare 101

Your complete, plain-English Medicare guide

New to Medicare? Start here. Medicare has four parts — A, B, C, and D. Below are the basics, then dig into any topic.

Part A — Hospital

Inpatient hospital, skilled nursing, hospice. Usually premium-free if you worked 10+ years.

Part B — Medical

Doctor visits, outpatient care, preventive services. Monthly premium set by income.

Part C — Advantage

A private all-in-one alternative bundling A, B, and usually D, often with extras.

Part D — Drugs

Prescription drug coverage, with a 2026 out-of-pocket cap of about $2,100.

Getting-started questions

Is Medicare free?

Not entirely. Part A is usually premium-free if you or your spouse paid Medicare taxes for at least 40 quarters (about 10 years). Part B always carries a monthly premium, set by the government and higher for upper incomes. Medicare Advantage and Part D plan premiums vary — some Advantage plans have a $0 plan premium, but you still pay your Part B premium and any copays or deductibles. (Verify current figures on Medicare.gov.)

Is Medicare the same as Medicaid?

No. Medicare is federal health insurance based mainly on age — most people qualify at 65 regardless of income. Medicaid is a joint federal-and-state program based on limited income and resources. The names sound alike, but they're separate. Some people qualify for both at once, which is called being "dual-eligible" and can unlock additional help with costs. We can check which programs you may qualify for.

What are the four parts of Medicare in simple terms?

Part A is hospital coverage, Part B is doctor and outpatient coverage, Part C (Medicare Advantage) is a private all-in-one plan that bundles A and B and usually drug coverage, and Part D is prescription drug coverage. A helpful memory trick: A and B are the government's "Original Medicare," while C and D are private plans that add to or repackage it. Most people end up using either A+B plus Part D, or a single Part C plan.

Do I have to do anything to get Medicare at 65?

It depends. If you're already drawing Social Security before 65, you're usually enrolled in Parts A and B automatically and get your card in the mail. If you're not yet drawing Social Security, you have to sign up yourself during your enrollment window. Either way, choosing your added coverage — a drug plan or a Medicare Advantage plan — is a separate, active decision. We help Sioux Falls area residents handle both at no cost.

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